System and method for chopping up and processing gift cards

ABSTRACT

Systems, methods, and computer-readable media for chopping up a gift card/code into smaller multiple gift card/codes. The system receives a request from a user to convert a closed-loop card/code having a value amount into two different closed-loop cards/codes and divides (or “chops up”) the closed-loop card/code into a first closed-loop card/code having a first value amount and a second closed-loop card/code having a second value amount, wherein the first value amount and the second value amount add up to no more than the value amount. The system offers the first closed-loop card/code and the second closed-loop card/code to one of the user and a third party.

PRIORITY CLAIM

The present application is a continuation of application Ser. No.14/022,630, filed Sep. 10, 2013, which is a continuation of U.S. patentapplication Ser. No. 13/442,554, filed Apr. 9, 2012 now U.S. Pat. No.8,528,814, issued on Sep. 10, 2013, which is a continuation-in-part ofU.S. application Ser. No. 12/702,600, filed Feb. 9, 2010 now U.S. Pat.No. 8,152,061, issued on Apr. 10, 2012, which is a continuation-in-partof U.S. application Ser. No. 12/573,042, filed Oct. 2, 2009, now U.S.Pat. No. 8,152,060, issued on Apr. 10, 2012, which claim priority toProvisional Application 61/207,125, filed Feb. 9, 2009, and ProvisionalApplication 61/211,394, filed Mar. 28, 2009, all of which are hereinincorporated by reference in their entirety.

RELATED APPLICATIONS

This Application is related to U.S. application Ser. Nos. 12/702,610,12/702,623, and 12/701,711, filed Feb. 9, 2010, the content of which areincorporated herein by reference.

BACKGROUND

1. Technical Field

The present disclosure relates to a system and method of receiving arequest to chop up an original gift card or gift code having an originaldollar amount into multiple gift cards or gift codes having differentdollar amounts which add up to be equal or less than the original dollaramount.

2. Introduction

Prepaid gift accounts are widely used as gifts for birthdays, Christmas,and other holidays. Prepaid gift accounts can be issued as physicalcards. Prepaid gift accounts can also be issued as an account numberdelivered to the prepaid account holder via text message, email or asdata displayed on an application residing on a mobile computing devicesuch as a mobile telecommunications device, a mobile computing devicesuch as a laptop computer, smart phone or tablet computer or anon-mobile computer device such as a personal computer system, personalgaming system or satellite or cable television system. Prepaid giftaccounts can be closed loop, meaning that the value represented by theprepaid gift account is a valid form of payment at a closed set ofretailers. For example, an OUTBACK STEAKHOUSE® prepaid gift account isonly redeemable at OUTBACK STEAKHOUSE® and not at PLANET HOLLYWOOD® orTARGET®. Some closed loop prepaid gift accounts are valid at a family ofclosely related or commonly owned merchants. For example, a DARDENRESTAURANTS prepaid gift account is valid at RED LOBSTER® and OLIVEGARDEN®; similarly, a local mall prepaid gift account is valid at tenantmerchants in the local mall. By contrast, prepaid gift accounts can alsobe open loop, such as VISA® or MASTERCARD® debit cards, which serve as avalid form of payment at virtually any retailer nationwide.

While prepaid gift accounts are popular alternatives to cash andmerchandise gifts, which may not interest the recipient, such prepaidgift accounts typically have various limitations which reduce theirutility and appeal to the recipient. For example, the recipient may havetrouble redeeming the prepaid gift account due to geographic limitationsassociated with the prepaid gift account. Many times, the prepaid giftaccount is tied to a particular merchant which the recipient maydislike, greatly reducing the value of the prepaid gift account to therecipient. Additionally, some merchants issue prepaid gift accounts withsignificant restrictions, complex fees, and/or expiration dates.According to one estimate, consumers purchase about $80 billion worth ofprepaid gift accounts annually in the U.S., and roughly 10%, or $8billion, of that amount goes unredeemed. Consumers waste theseunredeemed funds and do not benefit from the full value of the prepaidgift account. Further, if these funds are not spent, they can escheat tothe state.

SUMMARY

Additional features and advantages of the disclosure will be set forthin the description which follows, and in part will be obvious from thedescription, or can be learned by practice of the herein disclosedprinciples. The features and advantages of the disclosure can berealized and obtained by means of the instruments and combinationsparticularly pointed out in the appended claims. These and otherfeatures of the disclosure will become more fully apparent from thefollowing description and appended claims, or can be learned by thepractice of the principles set forth herein.

The present disclosure focuses primarily on chopping up a gift card aswell as fraud prevent techniques. Systems and methods covered includefeatures that enable the system to perform an operation of chopping up agift card or a gift cade. The method can cause the computing device togenerate a new closed loop card/code associated with the amount of moneyin an original gift card/code. In one embodiment, the method causes thecomputing device to offer for sale the new closed loop card/code at asecond offer amount, and, upon a second user accepting the second offerfor sale and upon receiving payment, generate and transfer the newclosed loop card/code to a second user. The new closed loop card/codecan be personalized based on input from the user. In another embodiment,the method divides a large closed loop card/code having an originalvalue amount by causing the computing device to receive a set of smallervalues totaling a sum equal to or lesser than the amount of money in theclosed loop card/code account, divide the amount of money in the closedloop account into gift cards/codes in denominations of the set ofsmaller values, and provide the gift cards/codes to the owner aspayment. This is called “chopping up” a card/code. In yet anotherembodiment, the computing device receives an additional amount of moneyfrom the owner, and provides payment to the owner by providing a giftcard/code to the owner of the offer amount plus the additional amount ofmoney. This is called “topping up” a card/code. An example methodembodiment of “chopping up” includes receiving a request from a user toconvert a closed-loop card/code having a value amount into two differentclosed-loop cards/codes; dividing the closed-loop card/code into a firstclosed-loop card/code having a first value amount and a secondclosed-loop card/code having a second value amount, wherein the firstvalue amount and the second value amount add up to no more than thevalue amount; and presenting or offering the first closed-loop card/codeand the second closed-loop card/code to one of the user and a separateperson. The offering can be payment for the closed-loop card/code to theuser, or the user can be paid separately and the new closed-loopcards/codes can be offered to a third party or third parties.

Other approaches disclosed herein, although not the focus of the claimsin this present case, include fraud prevention techniques. Theapproaches set forth herein can provide a secure and efficient mechanismfor prepaid gift account fraud prevention. More specifically, theseapproaches can prevent fraud when users exchange prepaid gift accountsby closing a first prepaid gift account for a first prepaid gift andgenerating a second prepaid gift account for a second prepaid gift thatis funded with at least a portion of the funds from the first prepaidgift account. Here, users can securely exchange prepaid gift accountswith great flexibility.

Disclosed are systems, methods, and computer-readable storage media forpreventing fraud when exchanging prepaid gift accounts. The systemidentifies a first prepaid gift account associated with a first prepaidgift. The system then presents an owner of the first prepaid gift withan offer to purchase the prepaid gift account associated with the firstprepaid gift for an offer amount. Next, the system receives from theowner an acceptance of the offer. Based on the acceptance, the systemprovides payment to the owner for the first prepaid gift accountassociated with the first prepaid gift, generates a second prepaid giftaccount for a second prepaid gift, transfers at least a portion of fundsfrom the first prepaid gift account associated with the first prepaidgift to the second prepaid gift account, deactivates the first prepaidgift account associated with the first prepaid gift, and offers thesecond prepaid gift account for resale as a new prepaid gift to a personother than the owner. In one embodiment, the system receives acounteroffer from the owner and, based on the counteroffer, the systemprovides payment to the owner for the first prepaid gift accountassociated with the first prepaid gift, generates a second prepaid giftaccount for a second prepaid gift, transfers at least some of the fundsfrom the first prepaid gift account associated with the first prepaidgift to the second prepaid gift account, deactivates the first prepaidgift account associated with the first prepaid gift, and offers thesecond prepaid gift account for resale as a new prepaid gift to a personother than the owner. The system could also offer a new prepaid giftaccount to the owner as payment as well.

The offer to purchase the prepaid gift account can be open ortime-limited and conditioned upon a resale of a different prepaid giftaccount. The offer amount can be based on a resale velocity of prepaidgift accounts of a similar type as the prepaid gift account, inventorylevels, and/or any other relevant business metrics. The payment caninclude a check, a payment of a bill or debt of the owner of the prepaidgift account, loading an amount to a new or existing credit, a debitcard or prepaid gift, a deposit into an existing or new bank account,cash, etc. Further, the payment can be provided as value added to anopen and/or closed loop prepaid gift account. The portion of fundstransferred from the first prepaid gift account associated with thefirst prepaid gift to the second prepaid gift account can be the fullportion of funds in the first prepaid gift account or any amount of thefunds in the first prepaid gift account. The funds transferred to thesecond prepaid gift account can also come from a separate source, suchas a third prepaid gift account, rather than the first prepaid giftaccount.

The system deactivates the first prepaid gift account associated withthe first prepaid gift to prevent fraud and protect the parties involvedin the exchange and/or any party having an interest in the transaction.The system can deactivate the first prepaid gift account by closing thefirst prepaid gift account, withdrawing the funds from the first prepaidgift account, suspending the first prepaid gift account, implementingprepaid gift account restrictions, etc. The system can check that theowner of the first prepaid gift account is not engaged in fraud with thefirst prepaid gift account and gathering and verifying personalinformation, such as an address, social security number, driver'slicense number, credit card number and credit card account informationof the owner of the first prepaid gift account. The information used toidentify the first prepaid gift account and check for fraud can beprovided by, or obtained from, a user, a device, a merchant, a file, aprogram, a prepaid gift account issued as a physical card or as anaccount number, a network, etc. For example, the system can require theuser to provide user and/or prepaid gift account identificationinformation. The system can obtain information identifying the prepaidgift account from a physical card associated with a prepaid giftaccount. For example, the prepaid gift account owner can swipe aphysical card associated with a prepaid gift through a physical cardreader so the system can read the information identifying the prepaidgift account.

The system can divide the first prepaid gift account associated with thefirst prepaid gift into multiple prepaid gift accounts. For example, thesystem can generate new prepaid gift accounts for multiple, new prepaidgifts, transfer funds from the first prepaid gift account associatedwith the first prepaid gift to the new prepaid gift accounts, deactivatethe first prepaid gift account associated with the first prepaid gift,and offer the new prepaid gift accounts for resale as new prepaid gifts.The system can also combine multiple prepaid gift accounts of prepaidgifts, generate a new, larger prepaid gift account for the prepaidgifts, and deactivate the multiple prepaid gift accounts.

The new prepaid gift can be closed loop or open loop and issued as aphysical card or as an account number delivered to the prepaid accountholder via text message, email or as data displayed on an applicationresiding on a mobile computing device such as a mobiletelecommunications device, a mobile computing device such as a laptopcomputer, smart phone or tablet computer or a non-mobile computer devicesuch as a personal computer system, personal gaming system or satelliteor cable television system.

BRIEF DESCRIPTION OF THE DRAWINGS

In order to describe the manner in which the above-recited and otheradvantages and features of the disclosure can be obtained, a moreparticular description of the principles briefly described above will berendered by reference to specific embodiments thereof which areillustrated in the appended drawings. Understanding that these drawingsdepict only exemplary embodiments of the disclosure and are nottherefore to be considered to be limiting of its scope, the principlesherein are described and explained with additional specificity anddetail through the use of the accompanying drawings in which:

FIG. 1 illustrates an example system embodiment;

FIG. 2 illustrates a multi-process secure gateway configuration;

FIG. 3 illustrates a user interaction with a secure gateway;

FIG. 4 illustrates an exemplary method for processing prepaid giftaccounts;

FIG. 5 illustrates an exemplary method for preventing fraud whenexchanging prepaid gift accounts; and

FIG. 6 illustrates the “chopping up” approach of this disclosure.

DETAILED DESCRIPTION

Various embodiments of the disclosure are discussed in detail below.While specific implementations are discussed, it should be understoodthat this is done for illustration purposes only. A person skilled inthe relevant art will recognize that other components and configurationsmay be used without parting from the spirit and scope of the disclosure.

With reference to FIG. 1, an exemplary system 100 includes ageneral-purpose computing device 100, including a processing unit (CPUor processor) 120 and a system bus 110 that couples various systemcomponents including the system memory 130 such as read only memory(ROM) 140 and random access memory (RAM) 150 to the processor 120. Theseand other modules can be configured to control the processor 120 toperform various actions. Other system memory 130 may be available foruse as well. It can be appreciated that the disclosure may operate on acomputing device 100 with more than one processor 120 or on a group orcluster of computing devices networked together to provide greaterprocessing capability. The processor 120 can include any general purposeprocessor and a hardware module or software module, such as module 1162, module 2 164, and module 3 166 stored in storage device 160,configured to control the processor 120 as well as a special-purposeprocessor where software instructions are incorporated into the actualprocessor design. The processor 120 may essentially be a completelyself-contained computing system, containing multiple cores orprocessors, a bus, memory controller, cache, etc. A multi-core processormay be symmetric or asymmetric.

The system bus 110 may be any of several types of bus structuresincluding a memory bus or memory controller, a peripheral bus, and alocal bus using any of a variety of bus architectures. A basicinput/output (BIOS) stored in ROM 140 or the like, may provide the basicroutine that helps to transfer information between elements within thecomputing device 100, such as during start-up. The computing device 100further includes storage devices 160 such as a hard disk drive, amagnetic disk drive, an optical disk drive, tape drive or the like. Thestorage device 160 can include software modules 162, 164, 166 forcontrolling the processor 120. Other hardware or software modules arecontemplated. The storage device 160 is connected to the system bus 110by a drive interface. The drives and the associated computer readablestorage media provide nonvolatile storage of computer readableinstructions, data structures, program modules and other data for thecomputing device 100. In one aspect, a hardware module that performs aparticular function includes the software component stored in a tangibleand/or intangible computer-readable medium in connection with thenecessary hardware components, such as the processor 120, bus 110,display 170, and so forth, to carry out the function. The basiccomponents are known to those of skill in the art and appropriatevariations are contemplated depending on the type of device, such aswhether the device 100 is a small, handheld computing device, a desktopcomputer, or a computer server.

Although the exemplary embodiment described herein employs the hard disk160, it should be appreciated by those skilled in the art that othertypes of computer readable media which can store data that areaccessible by a computer, such as magnetic cassettes, flash memorycards, digital versatile disks, cartridges, random access memories(RAMs) 150, read only memory (ROM) 140, a cable or wireless signalcontaining a bit stream and the like, may also be used in the exemplaryoperating environment. Tangible computer-readable storage mediaexpressly exclude media such as energy, carrier signals, electromagneticwaves, and signals per se.

To enable user interaction with the computing device 100, an inputdevice 190 represents any number of input mechanisms, such as amicrophone for speech, a touch-sensitive screen for gesture or graphicalinput, keyboard, mouse, motion input, speech and so forth. The inputdevice 190 may be used by the presenter to indicate the beginning of aspeech search query. An output device 170 can also be one or more of anumber of output mechanisms known to those of skill in the art. In someinstances, multimodal systems enable a user to provide multiple types ofinput to communicate with the computing device 100. The communicationsinterface 180 generally governs and manages the user input and systemoutput. There is no restriction on operating on any particular hardwarearrangement and therefore the basic features here may easily besubstituted for improved hardware or firmware arrangements as they aredeveloped.

For clarity of explanation, the illustrative system embodiment ispresented as including individual functional blocks including functionalblocks labeled as a “processor” or processor 120. The functions theseblocks represent may be provided through the use of either shared ordedicated hardware, including, but not limited to, hardware capable ofexecuting software and hardware, such as a processor 120, that ispurpose-built to operate as an equivalent to software executing on ageneral purpose processor. For example the functions of one or moreprocessors presented in FIG. 1 may be provided by a single sharedprocessor or multiple processors. (Use of the term “processor” shouldnot be construed to refer exclusively to hardware capable of executingsoftware.) Illustrative embodiments may include microprocessor and/ordigital signal processor (DSP) hardware, read-only memory (ROM) 140 forstoring software performing the operations discussed below, and randomaccess memory (RAM) 150 for storing results. Very large scaleintegration (VLSI) hardware embodiments, as well as custom VLSIcircuitry in combination with a general purpose DSP circuit, may also beprovided.

The logical operations of the various embodiments are implemented as:(1) a sequence of computer implemented steps, operations, or proceduresrunning on a programmable circuit within a general use computer, (2) asequence of computer implemented steps, operations, or proceduresrunning on a specific-use programmable circuit; and/or (3)interconnected machine modules or program engines within theprogrammable circuits. The system 100 shown in FIG. 1 can practice allor part of the recited methods, can be a part of the recited systems,and/or can operate according to instructions in the recited tangiblecomputer-readable storage media. Generally speaking, such logicaloperations can be implemented as modules configured to control theprocessor 120 to perform particular functions according to theprogramming of the module. For example, FIG. 1 illustrates three modulesMod1 162, Mod2 164 and Mod3 166 which are modules configured to controlthe processor 120. These modules may be stored on the storage device 160and loaded into RAM 150 or memory 130 at runtime or may be stored aswould be known in the art in other computer-readable memory locations.

Having disclosed some components of a computing system, the disclosurenow turns to a discussion of prepaid gift accounts, followed by adescription of the exemplary multi-process secure gateway configurationshown in FIG. 2. A more detailed discussion of generating accounts forprepaid gifts will then follow.

Prepaid gift accounts are divided into open loop and closed loop prepaidgifts. Typically issuing banks or credit card companies issue open loopprepaid gift accounts (example: VISA, MASTERCARD, AMEX or DISCOVER)which can be redeemed by virtually any business entity. These differfrom closed loop prepaid gift accounts which are typically issued by aspecific store or restaurant and can be only redeemed by the issuingprovider (example: SEARS, RED LOBSTER, TARGET). Prepaid gift accountscan be issued as open loop or closed loop physical cards or as anaccount number delivered (or the information associated with the accountis delivered) to the prepaid account holder or to some other person ordevice via text message, email or as data displayed on an applicationresiding on a mobile computing device such as a mobiletelecommunications device, a mobile computing device such as a laptopcomputer, smart phone or tablet computer or a non-mobile computer devicesuch as a personal computer system, personal gaming system or satelliteor cable television system. Information associated with the accounts canbe delivered in any fashion as noted above.

The disclosure now turns to FIG. 2, which illustrates a multi-processsecure gateway configuration 200. The multi-process secure gateway 202can be implemented as a local or remote server, a group of tightly orloosely interconnected servers, integrated as a software module within apoint of sale device, or as any other suitable device, software, orcombination thereof. In FIG. 2, the multi-process secure gateway 202 isshown as a single conceptual server available over a network 212B, suchas the public telephone network or the Internet. The principles setforth herein can be applied to local area networks, wide area networks,virtual private networks, intranets, home networks, corporate networks,wireless ad-hoc networks, peer-to-peer networks, and virtually any otherform of network.

The multi-process secure gateway 202 interacts with various requesters,such as kiosks 204, mobile devices 206, desktop computers 208, andmerchants' point of sale devices 210, which submit information uniquelyidentifying prepaid gift accounts associated with prepaid gifts. Mobiledevice 206 also represents a standard telephone as well as communicationwith an interactive voice response system. Each of these devices caninteract with the secure gateway 202 through different protocols, suchas a direct network connection, an HTTP-based portal, SMS messages,telephone, interactive voice response systems, point-of-sale (POS)terminals, browsers, plug-ins, Secure Shell, File Transfer Protocol,Internet Protocol, Simple Mail Transfer Protocol, Telnet, etc.

In the case of merchants, each point of sale of the merchant 210 canconnect to a centralized merchant server (not shown) which relaysrequests to the secure gateway 202 on behalf of all the merchant 210point of sale devices. Other configurations also exist. In one aspect,this process may be called “Cash4Card” (name used for descriptionpurposes only). Merchants 210, kiosks 204, other devices and/orlocations, including online storefronts, which provide an interface tothe secure gateway 202 can provide an easily recognizable visual orother indication readily indicating to potential customers that theyaccept gift cards/codes under the Cash4Card program. The indication canbe a window sticker, an online image, or other sign displayed in amanner similar to the well-known overlapping circles for MASTERCARD® orthe blue and orange bars over and under the word VISA®.

The secure gateway 202 interacts with multiple closed loop processors214, such as FIRSTDATA and CHASE PAYMENTECH, over a network 212A such asthe Internet. These processors are entities that process prepaid giftaccount, such as FIRSTDATA, and are different from a computer processorsuch as an AMD PHENOM II or INTEL CORE DUO. The secure gateway 202 canperform any action on the prepaid gift account through the variousprepaid gift account processors 214 as if the secure gateway 202 was amerchant. The secure gateway 202 analyzes the submitted information todetermine which closed loop processor handles that type of prepaid giftaccount. For example, a particular series of numbers or letters canindicate that one prepaid gift account is honored by PAYMENTECH, andanother distinct set of numbers or letters indicates that another closedloop card/code is honored by FIRSTDATA. The logic and analysis in thesecure gateway 202 can change from time to time as new types of prepaidgift account are issued by existing prepaid gift account processors 214or as the secure gateway 202 adds interfaces for new prepaid giftaccount processors. The secure gateway 202 can include a commonapplication programmer interface (API) which defines actions which maybe performed through the prepaid gift account processors 214. The APItranslates API calls to the corresponding specific sets of proprietaryinteractions with the various closed loop processors 214, which may bevery different between prepaid gift account processors 214.

The secure gateway 202 determines the balance of the prepaid giftaccount from the prepaid gift account processor 214 and offers topurchase the prepaid gift account from the requestor, typically at aprice lower than the face value of the prepaid gift account (though notalways, and can be at or above the face value). If the requestorprovides an indication of agreement to sell the prepaid gift account,then the secure gateway 202 deactivates the prepaid gift accountassociated with the submitted information, issues a new prepaid giftaccount in that amount, and pays the purchase price to the requestorthrough a payment entity 216. The gateway 202 can also provideinstructions to other entities to perform the deactivation, issuance,payment, and other steps. The payment entity 216 can be part of thesecure gateway 202, part of a merchant point of sale equipment 210, or aseparate entity altogether.

The secure gateway 202 can provide additional instructions regarding howto transfer payment 218 to the requestor. Some examples of how totransfer payment include mailing a check to the requestor, paying cashto the requestor, mailing a new prepaid gift account issued as aphysical card to the requestor, texting, emailing or displaying on anapplication on a mobile or non-mobile computing device to the requestorthe necessary information to use a non-physical prepaid gift account(such as an account number and PIN), notifying a local financial serviceto prepare an amount of money for pickup (such as MONEYGRAM or WESTERNUNION), transferring funds to an electronic account (such as PAYPAL),paying a bill of the requestor, transferring money to a requestor'sexisting credit card or debit card or granting store credit to therequestor. The payment entity 216 can also provide payment to therequestor using other suitable approaches.

In one embodiment, the secure gateway 202 identifies an prepaid giftaccount associated with a prepaid gift and determines the balance of theaccount from the prepaid gift account processor 214. The secure gateway202 then presents the owner of the prepaid gift account with an offer topurchase the prepaid gift account for an offer amount, which can beequal to the balance, below the balance, or above the balance. If thesecure gateway 202 receives an acceptance of the offer from the owner,the secure gateway 202 provides payment to the owner of at least aportion of the amount in the prepaid gift account, generates a newprepaid gift account for a new prepaid gift, transfers funds from theaccount to the new prepaid gift account, deactivates the first prepaidgift account, and offers the new prepaid gift account for resale as anew prepaid gift. The money funding the new prepaid gift account doesnot need to directly come from the first prepaid gift account. Forexample, if a user has $100 in prepaid gift account for OLIVE GARDEN anddesires to sell that prepaid gift account because they would prefermoney, the system may pay the person $90 for the prepaid gift accountfrom the first prepaid gift account or a separate account, then transfera portion of the money from the first prepaid gift account to the newaccount and close down the original prepaid gift account such that theperson cannot commit fraud by using the first prepaid gift account afterbeing paid for the first prepaid gift account. Suppose that the newprepaid gift account now has $90 in it. The new prepaid gift associatedwith that new prepaid gift account can then be sold and it could be forOLIVE GARDEN, another business, or may be a general open loop prepaidgift account. The secure gateway 202 can offer the new prepaid giftaccount for resale to any other person. Moreover, the secure gateway 202can provide payment via the payment entity 216.

FIG. 3 illustrates a user interaction with the secure gateway 202 asshown in FIG. 2. The user 302, through a network-enabled device 304,transmits a request to the multi-process secure gateway 202 to check thebalance and validity of an identified prepaid gift account 308. Thesecure gateway 202 communicates with the appropriate processor 214 andreturns the balance to the secure gateway 202. The secure gateway 202makes a purchase price determination based on resale metrics of thatparticular type of prepaid gift account. Resale metrics can include howfast inventory of a particular type of prepaid gift account is resold,how much inventory is currently held, desired profit margins, operatingexpenses, fees to transfer or create new prepaid gift account, etc. Thesecure gateway 202 offers to purchase the prepaid gift account from theuser 302 for the determined purchase price. If the user accepts, thesecure gateway 202 provides payment 312 to the user 302. The securegateway 202 also generates a new account for a new prepaid gift account,transfers funds from the prepaid gift account to the new prepaid giftaccount, and deactivates the prepaid gift account 310. The securegateway 202 can then offer the new prepaid gift account for resale as anew prepaid gift account.

In one embodiment, the secure gateway 202 transfers the new prepaid giftaccount to a reseller. The reseller can offer to sell the new prepaidgift account for less than its face value. For example, if the user 302submits a $200 SEARS gift prepaid gift account, the secure gateway 202can determine that SEARS prepaid gift accounts in that denomination arein high demand and offer to purchase the $200 Sears prepaid gift accountfor $135. The user accepts the offer and the secure gateway 202 pays theuser $135. The secure gateway 202 deactivates the $200 SEARS prepaidgift accountant reissues a new $200 SEARS prepaid gift account which canbe represented as numbers stored by the reseller. The reseller thenoffers the $200 SEARS prepaid gift account for sale to the generalpublic at a discount rate of $170, a 15% discount off the face value.When a customer purchases the $200 SEARS prepaid gift account, thereseller sell the new prepaid gift account as a physical card or as aphysical plastic encoded card or as an account number (or informationassociated with the account number) delivered to the prepaid accountholder (or another person or device) via text message, email or as datadisplayed on an application residing on a mobile computing device suchas a mobile telecommunications device, a mobile computing device such asa laptop computer, smart phone or tablet computer or a non-mobilecomputer device such as a personal computer system, personal gamingsystem or satellite or cable television system. In this case, thereseller earns the difference between the purchase price $135 and thediscount rate $170, or $35. The reseller can operate as a brick andmortar retail store, an online storefront, an online auction, or anyother suitable sales outlet.

In another aspect, the reseller purchases a prepaid gift account from auser at or above its face value, i.e., purchases a $100 SEARS prepaidgift account for $100 or for $110. In this case, the reseller can make aprofit by providing the payment for the prepaid gift account on ageneral purpose reloadable prepaid gift account run by the reseller.Then the reseller makes a profit from interest, float, interchange,and/or monthly minimum fees. The reseller method described herein mayalso be provided as a tool by another entity that franchises or receivesa fee for use of the tool.

Having disclosed some basic system components and concepts, thedisclosure now turns to the exemplary method embodiments shown in FIGS.4 and 5. For the sake of clarity, the methods are discussed in terms ofan exemplary system 100, as shown in FIG. 1, configured to practice themethods. The steps outlined herein are exemplary and can be implementedin any combination thereof, including combinations that exclude, add, ormodify certain steps.

FIG. 4 illustrates an exemplary method for processing closed loop cardsand codes. The method can be practiced by a system 100, as shown in FIG.1, a compute cluster, a server farm, or any other multi nodeconfiguration. The system 100 first identifies a prepaid gift havingassociated money in a prepaid gift account (402). The owner of a prepaidgift account associated with a physical encoded card owner can swipe thephysical card through a card reader to read information identifying theprepaid gift. The prepaid account owner can also insert the physicalcard into a physical card reader within a kiosk in a manner similar toan Automated Teller Machine (ATM). In one aspect, a kiosk or otherlocation which accepts and/or reads physical card can include arecycling receptacle for collecting used physical cards. The collectedused physical cards can be recycled or destroyed. Certain prepaid giftaccounts issuers may require this feature to keep deactivated or invalidprepaid gift accounts out of circulation. The system 100 can restrictthe amount of money the owner of the prepaid gift account can redeemover a period of time. The system 100 can also restrict the number ofprepaid gift accounts redeemed over a period of time. For example, thesystem 100 can impose a $1,000 per month or 3 prepaid gift account perday limit. The system 100 can require the prepaid gift account owner tocreate or log in to an account to redeem prepaid gift accounts. Thesystem 100 can also request that prepaid gift account owners enterdriver's license information, social security number, credit card/codeinformation, and/or any other information. This information can be usedto direct payment to the owner and can also be used to check that theowner is not engaged in fraud with the closed loop prepaid giftaccounts.

The system 100 receives a confirmation of an amount of money in theprepaid gift account (404). The system 100 can interact with amulti-process secure gateway, as shown in FIGS. 2 and 3, whichcommunicates with one or more prepaid gift account processors to verifythe prepaid gift account's validity and the amount in the prepaid giftaccount. The system 100 presents an owner of the prepaid gift accountwith the amount of money in the prepaid gift account and an offer to payan offer amount for the prepaid gift account (406). For example, thesystem 100 can communicate to the user that the prepaid gift account has$100 and offer to purchase the prepaid gift account for $50. The offeramount can be based on a resale velocity of prepaid gift accounts of asimilar type as the prepaid gift accounts, inventory levels, and/or anyother relevant business metrics.

In a “stub hub” or auction-based model, the offer to pay the offeramount is time-limited and/or conditional upon a resale of the prepaidgift account. The prepaid gift account is effectively offered up onconsignment, meaning that the system 100 provides payment to the ownerof the offer amount upon resale to a third party. In this aspect, thesystem 100 can deactivate or suspend the prepaid gift account after theowner accepts the offer and reactivate or reinstate the prepaid giftaccount after the time-limited offer expires without resale. The system100 can deactivate a prepaid gift account by simply withdrawing all thefunds so that the prepaid gift account has a balance of $0.00. Thesystem 100 can notify the prepaid gift account owner when a sale occurs,when payment is sent, etc. The system 100 can also notify the user thata time-limited consignment is expiring or expired. In this case, thesystem 100 can present the user with the option to end the consignment,resume the consignment, accept a lower offer price to promote a speediersale, etc. The owner can set the system 100 to automatically renew theconsignment for a number of time intervals or indefinitely.

The system 100 receives an indication that the owner accepts the offer(408) and receives the amount of money from the prepaid gift account(410). The system 100 can, at this point, generate a new prepaid giftaccount. The system 100 provides payment to the owner of the offeramount (412) in one or more of the payment methods set forth above. Inone specific example, the system 100 pays the owner by adding value to anew or existing prepaid gift account. In another example, the system 100receives from the owner a set of smaller values totaling a sum equal toor lesser than the amount of money in the prepaid gift accounts anddivides the amount of money in the first prepaid gift account into newsmaller prepaid gift accounts in denominations of the set of smallervalues. The system 100 provides these new prepaid gift accounts to theowner as payment. A concrete example of this scenario is a user whosubmits a $300 prepaid gift account to BEST BUY, but does not want orneed anything from BEST BUY or does not live sufficiently close to aBEST BUY. The user can sell the $300 prepaid gift account to the system100 for $175, and split that $175 into open or closed loop prepaid giftaccounts in varying denominations. The user can request a $100 closedloop prepaid gift account to TARGET, a $50 open loop prepaid giftaccount, and a $25 closed loop prepaid gift account to TOYS “

” US. The user can then regive these prepaid gift accounts to others.The user can request that the system 100 deliver the prepaid giftaccount (or information associated with or identifying the account orthe existence of the account) to a third party as a gift. For example,Abe sells a closed loop prepaid gift account for a prepaid gift accountto WAL-MART. Abe can request that the system 100 send the prepaid giftaccount to Betty, his wife, as an anniversary present. Users can requestthat the system hold the prepaid gift account and deliver it (or dataabout the account) on a specific day to a specific person. Users canfurther provide a personalized message for delivery with the prepaidgift account. In one aspect, the system 100 provides users with amanagement interface to edit details of held prepaid gift account, suchas cancelling the hold, delivering early, editing the personalizedmessage, and other management functions.

The system 100 can provide a mechanism for applying funds on an unwantedprepaid gift account toward payments of a bill (utility bill, car loan,student loan payment, cell phone bill, etc.). As an example, Tompresents a $50 SEARS prepaid gift account to a Cash4Card site, whichoffers Tom $40 for the prepaid gift account. Tom elects to receive the$40 by way of entering the Third Party they wish to pay the funds to,and the Cash4Card site makes payment on Tom's behalf. The Cash4Card sitecan then prompt Tom to enter additional information, such as an accountnumber, invoice number, or bill number.

In another variation, the owner had a $100 prepaid gift account andpurchased merchandise with it such that $32.31 remained on the prepaidgift account. The system 100 offers to purchase the $32.31 prepaid giftaccount for $19.39. The owner wants to use the offered purchase price asa prepaid gift account, but doesn't want to give a prepaid gift with anon-round number. The user can pay extra money in addition to theoffered purchase price to obtain a prepaid gift account with the desiredround number, such as an extra $0.61 to round up to $20 or an extra$5.61 to round up to $25.

In one aspect, the system 100 offers for sale the new prepaid giftaccount at a second offer amount and, upon a user accepting the secondoffer for sale and upon receiving payment, generates and transfers thenew prepaid gift account to the user. The user can request that the newprepaid gift account be personalized based on input text, data, images,sounds, or other information.

FIG. 5 illustrates an exemplary method for preventing fraud whenexchanging prepaid gift accounts. The method can be practiced, forexample, by a system 100, as shown in FIG. 1, a compute cluster, aserver farm, or any other multi node configuration. The method canprevent fraud when users exchange prepaid gift accounts by closing afirst prepaid gift account and generating a second prepaid gift accountthat is funded with at least a portion of the funds from the firstprepaid gift account.

First, the system 100 identifies a first prepaid gift account associatedwith a first prepaid gift (500). The system 100 can identify the firstprepaid gift account based on a password, a security code, a passphrase,a number/symbol, a bar code, an identifier, a description, account data,account characteristics, information associated with an owner, merchantinformation, etc. The system 100 can check that the owner of the firstprepaid gift account is not engaged in fraud with the first prepaid giftaccount and gather personal information, such as a driver's licensenumber or credit card/code number. The information used to identify thefirst prepaid gift account and/or check for fraud can be provided by, orobtained from, a user, a device, a merchant, a file, a program, aprepaid gift account encoded onto a physical card, a network, etc. Forexample, the system 100 can require the user to provide relevantinformation.

Further, the system 100 can read information identifying the prepaidgift account from a physical card. The prepaid gift account owner canswipe the physical card through a card reader so the system 100 can readthe information identifying the prepaid gift account. The physical cardreader can be part of the system 100 or a separate system. For instance,the physical card reader can be a remote device which communicates withthe system 100 via a network. The prepaid gift account owner can alsoinsert the physical card into a card reader within a kiosk in a mannersimilar to an Automated Teller Machine (ATM). In one aspect, a kiosk orother location which accepts and/or reads physical cards can include arecycling receptacle for collecting used physical cards. The collectedused physical cards can be recycled or destroyed. Certain prepaid giftaccount issuers may require this feature to keep deactivated or invalidprepaid gift accounts out of circulation. The prepaid gift account ownercan also enter the account number associated with the prepaid giftaccount into a POS terminal, an application on a mobile computing deviceor personal computer which transmits the account number to the systemvia the network.

The system 100 can also receive a confirmation of an amount of money inthe prepaid gift account. Receiving a confirmation can includeinteracting with a multi-process secure gateway which communicates withone or more prepaid gift account processors. For example, the system 100can interact with a multi-process secure gateway, as shown in FIGS. 2and 3, which communicates with one or more prepaid gift accountprocessors to verify the prepaid gift account's validity and the amountin the prepaid gift account.

Then, the system 100 presents an owner of the first prepaid gift with anoffer to purchase the first prepaid gift account associated with thefirst prepaid gift for an offer amount (502). The system 100 can presentthe owner of the first prepaid gift account with an offer to pay anamount of money for the first prepaid gift account. For example, thesystem 100 can communicate to the owner that the first prepaid giftaccount has $100 and offer to purchase the first prepaid gift accountfor $50. The offer amount can be based on a prepaid gift accountbalance, an account type, a risk, an estimated value, a contract, afeature, an interest, a transaction history, an identity associated witha party involved in the transaction, a term, and so forth. The offeramount can also be based on a resale velocity of prepaid gift accountsof a similar type as the prepaid gift accounts, inventory levels, and/orany other relevant business metrics.

Moreover, the offer to purchase the prepaid gift account can betime-limited and conditioned upon a resale of a different prepaid giftaccount, which can be a new prepaid gift account based from the prepaidgift account associated with the offer. In this variation, the system100 provides payment to the owner for the prepaid gift account onlyafter the resale. Here, the system 100 can deactivate the first prepaidgift account after the owner accepts the offer and, if the new prepaidgift account does not sell, reactivate the first prepaid gift accountassociated with the offer. The system 100 can reactivate the firstprepaid gift account after the time-limited offer expires withoutresale.

In a “stub hub” or auction-based model, the offer to pay the offeramount is time-limited and/or conditional upon a resale of the firstprepaid gift account. The prepaid gift account is effectively offered upon consignment, meaning that the system 100 provides payment to theowner of the offer amount upon resale to a third party. In this aspect,the system 100 can deactivate or suspend the first prepaid gift accountafter the owner accepts the offer and reactivate or reinstate the firstprepaid gift account after the time-limited offer expires withoutresale. The system 100 can deactivate the first prepaid gift account bysimply withdrawing all the funds so that the first prepaid gift accounthas a balance of $0.00. The system 100 can notify the first prepaid giftaccount owner when a sale occurs, when payment is sent, etc. The system100 can also notify the user that a time-limited consignment is expiringor expired. In this case, the system 100 can present the user with theoption to end the consignment, resume the consignment, accept a loweroffer price to promote a speedier sale, etc. The owner can set thesystem 100 to automatically renew the consignment for a number of timeintervals or indefinitely.

Next, the system 100 receives from the owner an acceptance of the offer(504) and, based on the acceptance, provides payment to the owner forthe first prepaid gift account associated with the first prepaid gift(506). In one embodiment, the system 100 receives a counteroffer fromthe owner and, based on the counteroffer, provides payment to the ownerfor the first prepaid gift account associated with the first prepaidgift. The payment can include a check, a payment of a bill or debt ofthe owner, loading an amount to a new or existing credit, a debit cardor prepaid gift, a deposit into an existing or new bank account, cash,etc. Further, the payment can be provided as value added to an openand/or closed loop prepaid gift account. In one embodiment, the system100 receives an amount of money from the owner and provides payment tothe owner by providing a new prepaid gift account to the owner plus theadditional amount of money.

Based on the acceptance, the system 100 also generates a second prepaidgift account for a second prepaid gift (508) and transfers at least aportion of funds from the first prepaid gift account associated with thefirst prepaid gift to the second prepaid gift account (510). The portionof funds transferred from the first prepaid gift account associated withthe first prepaid gift to the new prepaid gift account can be the fullportion of funds in the first prepaid gift account or any amount of thefunds in the first prepaid gift account. In addition to the portion offunds transferred from the first prepaid gift account associated withthe first prepaid gift, the system 100 can transfer additional fundsfrom another source and/or prepaid gift account. Moreover, the moneyfunding the second prepaid gift account does not have to directly comefrom the first prepaid gift account. For example, if a user has $100 ina prepaid gift account for OLIVE GARDEN and desires to sell that prepaidgift account because they would prefer money, the system 100 can pay theperson $90 for the prepaid gift account from the first prepaid giftaccount and/or a separate account, then transfer a portion of the moneyfrom the first prepaid gift account to the second prepaid gift accountand close down the first prepaid gift account such that the personcannot commit fraud by using the first prepaid gift account after beingpaid for the first prepaid gift account. Suppose that the second prepaidgift account now has $90 in it. The second prepaid gift account can thenbe sold, and the second prepaid gift account can be for OLIVE GARDEN,another business, or may be a general open loop prepaid gift account.

The second prepaid gift account can be a closed loop or open loop giftcard, for example. The prepaid gift account can be issued as a physicalcard or as an account number delivered to the prepaid account holder viatext message, email or as data displayed on an application residing on amobile computing device such as a mobile telecommunications device, amobile computing device such as a laptop computer, smart phone or tabletcomputer or a non-mobile computer device such as a personal computersystem, personal gaming system or satellite or cable television system.

After transferring funds to the second prepaid gift account, the system100 can also receive a confirmation of an amount of money in the secondprepaid gift account. Receiving a confirmation can include interactingwith a multi-process secure gateway which communicates with one or moreaccount processors. For example, the system 100 can interact with amulti-process secure gateway, as shown in FIGS. 2 and 3, whichcommunicates with one or more account processors to verify the prepaidgift account's validity and the amount in the prepaid gift account.

The system 100 then deactivates the first prepaid gift accountassociated with the first prepaid gift (512). The system 100 deactivatesthe first prepaid gift account to prevent fraud and protect the partiesinvolved in the exchange and/or any party having an interest in thetransaction. The system 100 can deactivate the first prepaid giftaccount by closing the first prepaid gift account and/or withdrawing thefunds from the first prepaid gift account. The system 100 can alsodeactivate the first prepaid gift account by suspending the firstprepaid gift account and/or implementing a restriction. The firstprepaid gift account deactivation can be triggered by an event, such asa confirmation, an acceptance, a counteroffer, a connection, an input,an output, an alert, a security threat, a payment, a promise, anexchange, an error, a request, fraudulent activity, and so forth. Thefirst prepaid gift account deactivation can also be based on a schedule,a parameter, a threshold, a status, a condition, a setting, a rule, asecurity risk, and so forth.

Finally, the system 100 offers the second prepaid gift account forresale as a new prepaid gift to a person other than the owner (514). Thesystem 100 can also offer for sale the second prepaid gift account at aspecific offer amount, and, upon receiving a payment or acceptance froma second user, transfer the second prepaid gift account to the seconduser. The second prepaid gift account can be personalized based on inputfrom the second user.

In one embodiment, the system 100 auctions the second prepaid giftaccount for resale as a new prepaid gift to the highest bidder. Inanother embodiment, the system 100 divides the first prepaid giftaccount associated with the first prepaid gift into multiple prepaidgift accounts and offers the multiple prepaid gift accounts for resaleas new prepaid gifts. For example, the system 100 can generate newprepaid gift accounts for multiple, new prepaid gifts, transfer aportion of funds from the first prepaid gift account associated with thefirst prepaid gift to the new prepaid gift accounts, deactivate thefirst prepaid gift account associated with the first prepaid gift, andoffer the new prepaid gift accounts for resale as new prepaid gifts. Thesystem 100 can also divide a prepaid gift account into prepaid giftaccounts in denominations of a set of smaller values, deactivate theprepaid gift account, and offer the new prepaid gift accounts forresale. Here, the system 100 can provide one or more of the prepaid giftaccounts to the owner as payment and/or offer one or more of the prepaidgift accounts for resale as new prepaid gift accounts. The system 100can also take funds from multiple prepaid gift accounts, combine theminto a new larger prepaid gift account, deactivate the multiple prepaidgift accounts, and offer the new larger prepaid gift account for resale.

Furthermore, the system 100 can restrict the amount of money the ownerof the prepaid gift account can redeem over a period of time. The system100 can also restrict the number of prepaid gift accounts redeemed overa period of time. For example, the system 100 can impose a $1,000 permonth or 3 prepaid gift account per day limit. Moreover, the system 100can require the prepaid gift account owner to create or log in to aprepaid gift account to redeem prepaid gift accounts. The system 100 canalso request that prepaid gift account owners enter driver's licenseinformation, social security number, credit card/code information,and/or any other information. This information can be used to directpayment to the owner and/or check that the owner is not engaged in fraudwith the prepaid gift account. In a related variation, the system 100can check that the owner is not engaged—or has engaged—in fraud with theprepaid gift account and gather personal information, such as a driver'slicense number, address, social security number and/or creditcard/prepaid gift account information. If the system 100 determines thatthe owner is engaged or has engaged in fraud, it can deactivate theprepaid gift account and/or refuse the transaction. The system 100 canalso monitor, restrict, and/or blacklist the owner if the system 100finds suspicious activity at any time.

The system 100 can notify the owner when an acceptance is received, apayment is sent, a new prepaid gift account is generated, funds aretransferred, the first prepaid gift account is deactivated, a saleoccurs, a confirmation is received, fraudulent activity is detected, arestriction is encountered, an expiration is approaching or has beenexceeded, etc. The system 100 can also provide similar notifications toa merchant and/or any other interested party. For example, the system100 can generate an alert to the merchant and/or a law enforcemententity if it detects fraudulent activity.

The present claims focus on the “chopping up” model shown in FIG. 6. Amethod includes receiving a request from a user to convert a closed-loopcard/code having a value amount into two different closed-loopcards/codes (602). The system divides the closed-loop card/code into afirst closed-loop card/code having a first value amount and a secondclosed-loop card/code having a second value amount, wherein the firstvalue amount and the second value amount add up to no more than thevalue amount (604). For example, the user may have $100 on a Home Depotgift card and want to break that up into two $45 gift cards to OliveGarden. Upon the request, the system would “chop up” the Home Depotcard/code into two small valued card/codes. The system then offers thefirst closed-loop card/code and the second closed-loop card/code (606).The first closed-loop card/code and the second closed-loop card/code canbe offered to the user as payment for the original closed-loop card/codeor the user can be paid a dollar amount for the original closed-loopcard/code and the system could “chop up” the original closed-loopcard/code and sell them, perhaps at a discount, to one or two otherpeople. Of course, the “chopping up” of the original card/code can bedone for more than two resulting card/codes as well as for a combinationof cards and codes. For example, the $100 Home Depot card could bechopped up into a $30 Olive Card Closed loop gift card and a $65 openloop gift code and offered/sold to different people.

The first value amount and the second value amount can equal the valueamount of the original card/code and one of the first closed-loopcard/code and the second closed-loop card/code are personalized based oninput from the user. In a “topping up” model, the method can includereceiving an additional amount of money from the user to yield a newvalue amount comprising the value amount plus the additional amount ofmoney. In this example, the system could receive an additional $25 fromthe user to make the $100 Home Depot gift card result in a total of$125, which gift card/code could then be chopped up as described herein.In some cases, some of the gift card/code has been used so that it is anodd amount, such as $91.25. The ability to “top up” that to a moreeasily choppable amount like $100 is for convenience.

The first value amount and the second value amount may add up to no morethan the new value amount, unless there is a merchant offer that cancause the amount to be higher. The system deactivates the closed-loopcard/code to prevent fraud. The operation of offering the firstclosed-loop card/code and the second closed-loop card/code can alsoinclude offering the first closed-loop card/code and the secondclosed-loop card/code to one of the user and a person other than theuser.

Embodiments within the scope of the present disclosure may also includetangible computer-readable storage media for carrying or havingcomputer-executable instructions or data structures stored thereon. Suchcomputer-readable storage media can be any available media that can beaccessed by a general purpose or special purpose computer, including thefunctional design of any special purpose processor as discussed above.By way of example, and not limitation, such computer-readable media caninclude RAM, ROM, EEPROM, CD-ROM or other optical disk storage, magneticdisk storage or other magnetic storage devices, or any other mediumwhich can be used to carry or store desired program code means in theform of computer-executable instructions, data structures, or processorchip design. When information is transferred or provided over a networkor another communications connection (either hardwired, wireless, orcombination thereof) to a computer, the computer properly views theconnection as a computer-readable medium. Thus, any such connection isproperly termed a computer-readable medium. Combinations of the aboveshould also be included within the scope of the computer-readable media.

Computer-executable instructions include, for example, instructions anddata which cause a general purpose computer, special purpose computer,or special purpose processing device to perform a certain function orgroup of functions. Computer-executable instructions also includeprogram modules that are executed by computers in stand-alone or networkenvironments. Generally, program modules include routines, programs,components, data structures, objects, and the functions inherent in thedesign of special-purpose processors, etc. that perform particular tasksor implement particular abstract data types. Computer-executableinstructions, associated data structures, and program modules representexamples of the program code means for executing steps of the methodsdisclosed herein. The particular sequence of such executableinstructions or associated data structures represents examples ofcorresponding acts for implementing the functions described in suchsteps.

Those of skill in the art will appreciate that other embodiments of thedisclosure may be practiced in network computing environments with manytypes of computer system configurations, including personal computers,hand-held devices, multi-processor systems, microprocessor-based orprogrammable consumer electronics, network PCs, minicomputers, mainframecomputers, and the like. Embodiments may also be practiced indistributed computing environments where tasks are performed by localand remote processing devices that are linked (either by hardwiredlinks, wireless links, or by a combination thereof) through acommunications network. In a distributed computing environment, programmodules may be located in both local and remote memory storage devices.

The various embodiments described above are provided by way ofillustration only and should not be construed to limit the scope of thedisclosure. Those skilled in the art will readily recognize variousmodifications and changes that may be made to the principles describedherein without following the example embodiments and applicationsillustrated and described herein, and without departing from the spiritand scope of the disclosure.

The invention claimed is:
 1. A method comprising: receiving a requestfrom a user to convert a closed-loop card/code having a value amountinto two different closed-loop cards/codes; paying an amount of money tothe user for the closed loop card/code; dividing the closed-loopcard/code into a first closed-loop card/code having a first value amountand a second closed-loop card/code having a second value amount, whereinthe first value amount and the second value amount add up to no morethan the value amount; and offering one of the first closed-loopcard/code at the first value amount and the second closed-loop card/codeat the second value amount for sale to a second user.
 2. The method ofclaim 1, wherein the first value amount and the second value amountequal the value amount.
 3. The method of claim 1, further comprising:receiving an additional amount of money from the user to yield a newvalue amount comprising the value amount plus the additional amount ofmoney.
 4. The method of claim 3, wherein the first value amount and thesecond value amount add up to no more than the new value amount.
 5. Themethod of claim 1, further comprising deactivating the closed-loopcard/code.
 6. The system of claim 1, wherein the computer-readablestorage medium stores instructions which, when executed by theprocessor, cause the processor to perform further operations comprising:receiving an additional amount of money from the user to yield a newvalue amount comprising the value amount plus the additional amount ofmoney.
 7. The system of claim 6, wherein the first value amount and thesecond value amount add up to no more than the new value amount.
 8. Asystem comprising: a processor; and a computer-readable storage mediumstoring instructions which, when executed by the processor, cause theprocessor to perform operations comprising: receiving a request from auser to convert a closed-loop card/code having a value amount into twodifferent closed-loop cards/codes; paying an amount of money to the userfor the closed loop card/code; dividing the closed-loop card/code into afirst closed-loop card/code having a first value amount and a secondclosed-loop card/code having a second value amount, wherein the firstvalue amount and the second value amount add up to no more than thevalue amount; and offering one of the first closed-loop card/code at thefirst value amount and the second closed-loop card/code at the secondvalue amount for sale to a second user.
 9. The system of claim 8,wherein the first value amount and the second value amount equal thevalue amount.
 10. The system of claim 8, wherein one of the firstclosed-loop card/code and the second closed-loop card/code arepersonalized based on input from the user.
 11. The system of claim 8,wherein the computer-readable storage medium stores instructions which,when executed by the processor, cause the processor to perform a furtheroperation comprising deactivating the closed-loop card/code.
 12. Acomputer-readable storage device storing instructions which, whenexecuted by a processor, cause the processor to perform operationscomprising: receiving a request from a user to convert a closed-loopcard/code having a value amount into two different closed-loopcards/codes; paying an amount of money to the user for the closed loopcard/code; dividing the closed-loop card/code into a first closed-loopcard/code having a first value amount and a second closed-loop card/codehaving a second value amount, wherein the first value amount and thesecond value amount add up to no more than the value amount; andoffering one of the first closed-loop card/code at the first valueamount and the second closed-loop card/code at the second value amountfor sale to a second user.
 13. The computer-readable storage device ofclaim 12, wherein the first value amount and the second value amountequal the value amount.
 14. The computer-readable storage device ofclaim 12, further storing instructions which, when executed by theprocessor, cause the processor to perform a further operationcomprising: receiving an additional amount of money from the user toyield a new value amount comprising the value amount plus the additionalamount of money.
 15. The computer-readable storage device of claim 14,wherein the first value amount and the second value amount add up to nomore than the new value amount.
 16. The computer-readable storage deviceof claim 12, further storing instructions which, when executed by theprocessor, cause the processor to perform a further operation comprisingdeactivating the closed-loop card/code.